KPIs Are In Range

Key Performance Indicator Assessment (KPIA) Process

Knowing where you are going can be perplexing at times. The cause of this situational complexity is less to do about the final destination, but the steps involved to get there. You need a plan. An effective plan not only helps to simplify the process of getting to where you want to be, it also anticipates the need to solve unknown problems along the way. How do you solve unexpected problems? Given that they are going to be unexpected, the best way to prepare is to build in time to solve them. For example, lets consider two commuters. The first commuter regularly drives to work, and she has developed a routine where her commute usually lasts 25 minutes door to door. One evening an unexpected snowfall occurs. Come morning, the first commuter is caught off guard when she sees her car. There is four inches of snow on and around her car. The first commuter has an unexpected problem: more time is necessary to prepare her vehicle to get to work. If time is built into her plan to account for unexpected problems, there should be time to warm-up the car, clear off the snow that accumulated on the car and take the drive to work a bit slower than normal. Alternatively, if there is not time built in, the first commuter is going to be late. The second commuter uses public transportation. Like the first commuter, the second commuter has a well-established commuting routine that lasts 45 minutes each morning. Part of this commute requires a transfer from one subway line to the other. One morning, an unexpected problem arises; due to a maintenance issue, the connecting train is running 30 minutes behind schedule. The delayed train presents a problem that increases the likelihood that the second commuter will be late. If time was built into his plan, he could determine alternative means to get to work allowing him to arrive on time. Both the first and second commuters had very different scenarios that resulted in a common problem: their commutes were going to take longer.Like commuting, regardless of the tools that you use, analyzing routines can be disrupted by unanticipated issues. The context of the problem may be situationally specific, yet the fundamental components of the problem will always be the same: time and money. Planning helps to minimize the affects the unknown risk may have on your project. An analysis process is a project, not a mere task. As such, a project requires planning within a set of constraints (namely time, talent, and funding) that is facilitated by a clear purpose based objective.Defining the objective of the process is the first step. Consider the following KPI Assessment (KPIA) objective: After reviewing all the KPIs established for the 2017 performance period, the organization will be able to:

identify the data sources associated with each KPI,

determine the levels of data quality and volume,

complete exploration of outcomes based on each KPI by quarter, and

identify preliminary trends

within a 30-day period with 100% completion. It is important to note that the above objective is specific to the KPIA process. During the assessment process the data that is associated with each KPI is organized and reviewed for its utility during the KPI Evaluation stage (KPIE). The KPIE will be a second phase process that also will have its own objective. KPIA prepares for KPIE. Figure 1 provides the overall timeline of subcomponents of the KPIA process.

Figure 2.1: KPIA Process Timeline

Please keep in mind that this timeline’s main purpose is to help you and your team get organized to perform a summative analysis of your organization’s KPIs. Feel free to adjust this timeline that best aligns to your current workflow and demands. The key idea is that all assessment of the KPIs is done in the next 30 days so that the evaluation process can begin. The amount of time and team resources needed to complete the assessment phase will vary depending on the number of KPIs as well as the quality and volume of the data.

Blog #2’s Action Question: What amount of time will your team need to devote to the KPI Assessment process over the next 30 days? (You may find it beneficial to put in writing).​Blog #3 sneak peek: The importance of teams.